If you’re a Kansas business owner, it’s important to understand the state’s sales tax laws. In this blog post, we’ll cover everything you need to know about sales tax in Kansas.
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The Kansas sales tax rate is 6.5% as of 2020, and no local sales tax is collected in addition to the KS state tax. Groceries, prescription drugs and non-prescription drugs are exempt from the Kansas sales tax
Counties and cities are allowed to charge an additional local sales tax of up to 3%, for a maximum possible combined sales tax of 9.5%.
What is sales tax?
Sales tax is a tax that is added to the price of certain goods and services when they are purchased. The amount of tax that is added to the price of a good or service depends on the sales tax rate that is in effect in the jurisdiction where the purchase is made. In Kansas, the sales tax rate is 6.5%. This means that for every $100 that you spend on taxable goods or services, you will owe $6.50 in sales tax.
Sales tax is generally imposed on the sale of tangible personal property and certain services. Tangible personal property includes items such as furniture, clothing, and electronics. Services that are subject to sales tax in Kansas include laundry and dry-cleaning services, landscaping services, and admissions to entertainment events such as movies and concerts.
Not all goods and services are subject to sales tax in Kansas. Some examples of items that are exempt from sales tax include food items for human consumption, prescription drugs, and certain medical devices.
What items are subject to sales tax in Kansas?
In Kansas, most items are subject to the sales tax of 6.5%
The exceptions are:
– Prescription drugs
– Non-prescription drugs
– some services like haircuts, laundry, and admission to entertainment events.
Some items may be subject to special sales taxes, for example, a luxury tax on cars over $60,000 or a county sales tax. Counties and cities are not allowed to charge more than 3%, for a maximum combined rate of 9.5%.
How is sales tax calculated in Kansas?
Sales tax in Kansas is calculated by adding the applicable state and local sales taxes together. The total sales tax rate for most areas of Kansas is 6.5%.
Some cities and counties in Kansas have additional local sales taxes, which are added on top of the state sales tax. For example, the total sales tax rate in Wichita is 8.375%.
Certain items are exempt from sales tax in Kansas, including food items, prescription drugs, and certain medical devices.
How is sales tax collected in Kansas?
In Kansas, sales tax is collected by the state from the seller of the goods or services. The seller is then responsible for remitting the tax to the state.
Sales tax is generally calculated as a percentage of the sales price of the good or service being sold. In Kansas, the statewide sales tax rate is 6.5%. counties and cities are allowed to charge an additional sales tax, for a total maximum rate of 8.625%.
Some items are exempt from sales tax in Kansas, including groceries, prescription drugs and some medical supplies. For a complete list of exempt items, see the Kansas Department of Revenue’s website.
What are the rates for sales tax in Kansas?
The Kansas state sales tax rate is 6.5%, and the average KS sales tax after local surtaxes is 8.38%. Counties and cities are allowed to charge an additional local sales tax on top of the state sales tax, up to a maximum of 3%. The maximum combined 2020 sales tax rate for an area in Kansas is 9.5%
Certain items are exempt from Kansas sales taxes, including most groceries, prescription drugs and certain medical devices.In most states, necessary items like clothing, food, and prescriptions are exempted from the sales tax or eligible for a lower sales tax rate.
E-file your Kansas Sales Tax Return
E-filing your return and making electronic payments for yourKansas sales tax are due on the 20th of each month following the reporting period. If you file your return late or fail to make a payment, you may be charged penalties and interest. To e-file your return inKansas, you must go through the Kansas DOR’s online filing system myAccount
Are there any exemptions to sales tax in Kansas?
Yes, there are several sales tax exemptions in Kansas. The majority of these exemptions are for certain types of organizations, such as religious groups and non-profit organizations. There are also exemptions for certain types of purchases, such as food items and prescription drugs. You can find a complete list of sales tax exemptions on the Kansas Department of Revenue website.
In conclusion, it is important to remember that each state has its own sales tax laws and rates. Kansas is no different. When shopping in Kansas, be sure to take the sales tax rate into account so that you are not surprised at the total cost of your purchase.